Thomas Gayner's Trades and Holdings in Q1 2026

Breaking down the stocks Thomas Gayner (Markel Group) bought, sold, and held in Q1 2026, including their holdings at the end of the quarter. All data sourced from Markel Group's 13F filed on May 01, 2026.

Who is Markel Group?

Markel Group is a holding company focused on specialty insurance underwriting, long-term equity investing, and ownership of diversified operating businesses (commonly referred to as Markel). The company is known for its diversified equity portfolio, typically consisting of 130-140 stocks, with the top 10 holdings comprising approximately 40% of equity assets, and cash and short-term investments averaging around 15% of total invested assets when balancing liquidity needs against opportunities. Their investment strategy is a long-term value investing approach inspired by Warren Buffett, emphasizing buy-and-hold ownership of high-quality businesses evaluated through four key pillars: profitable operations with good returns on capital and minimal debt, management teams with equal measures of talent and integrity, businesses with favorable reinvestment opportunities, and purchase prices that provide a margin of safety. Markel focuses on undervalued or underappreciated companies that can compound intrinsic value over decades, with strong qualitative factors like durable competitive advantages, reliable cash flows, resilient balance sheets, industry leadership, and alignment with the company's "Markel Style" values of excellence, fairness, and frugality.

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Q1 '26 13F filed with SEC

Holdings in Q1 2026

Current Investment Strategy

Markel Group's Q1 2026 portfolio reaffirmed its Buffett-inspired approach of buy-and-hold ownership in high-quality, cash-generative businesses, with concentrated bets on financial and industrial stalwarts like Berkshire Hathaway, Alphabet, Brookfield, Deere, and Amazon continuing to anchor roughly 40% of its equity book. New stakes in Sunbelt Rentals, MercadoLibre, Enterprise Products, and Weyerhaeuser—alongside exits from Target, Choice Hotels, and TransUnion—signal a tilt toward durable industrial infrastructure, energy midstream, and emerging-market e-commerce plays over consumer-facing retail and cyclical services names.

New Investments

Sunbelt Rentals Holdings Inc

Thomas Gayner bought $62.71M of Sunbelt Rentals Holdings Inc in Q1 2026. Over the last twelve months, Sunbelt has grown total revenue by 3.4% to about $11.2 billion, with a more muted Q3 2026 (revenue up 2.7%, rental up 2.6%) followed by a stronger current quarter where fiscal Q4 2026 revenue accelerated to 8.9% year-over-year growth and rental revenues rose 8.0%, led by Specialty up 15.1% and General Tool up 4.4%. Despite this top-line momentum, profitability has softened versus a year ago, with FY26 adjusted EBITDA margin sliding to 41.9% (from 43.9%), Q3 and Q4 both affected by higher repair costs and an unfavorable revenue mix, though Q4 still delivered adjusted EPS of $0.74 (vs. $0.73 consensus) and FY26 adjusted EPS of $3.72. Record free cash flow of $2.1 billion and roughly $1.9 billion of FY26 capital returns (including $1.4 billion of buybacks) underpin the equity story, and despite near-term share volatility around margin disappointments the stock is up roughly 19% over the past year and carries a Zacks Rank #3 (Hold) with Value and Growth Scores of D and Momentum Score of B, leaving scope for upside if specialty growth, mega-project exposure and the recent NYSE primary listing translate into sustained margin recovery and higher returns on capital.

• Fiscal Q4 2026 total revenue grew 8.9% year over year to about $2.75 billion, with rental revenue up 8.0%.
• Q3 2026 revenue increased 2.7% year over year, with rental revenue up 2.6%, but margins compressed enough to send the shares down about 3.1% on the print.
• Fiscal 2026 free cash flow reached a record $2.1 billion, supporting approximately $1.9 billion in shareholder returns (including $1.4 billion of buybacks and $464 million in dividends).

MercadoLibre

Thomas Gayner bought $9.42M of MercadoLibre in Q1 2026. Over the last two quarters, MercadoLibre has shown accelerating scale, with net revenues and financial income up 49–50% year over year and Q2 2026 becoming its first quarter above $10B in revenue, beating Street expectations even as shares traded down on margin concerns.. From Q1’s $8.8B of revenue and $417M of net income to Q2’s roughly $10.2B of revenue, $683M of operating income and $466M of net income, the company is clearly gaining in scale, but operating and net margins have compressed to about 6.7% and 4.6% as management prioritizes logistics, free shipping, credit expansion and user engagement over near-term earnings.. Major recent drivers include rapid growth in commerce and fintech activity—GMV up 44%, total payment volume up 56%, and the credit portfolio up about 75% year over year—plus ecosystem user growth in Brazil and Mexico, which together support long-term share gains and potential value creation once reinvestment moderates and operating leverage improves..

• Q2 2026 net revenues and financial income $10.2B, up 50% YoY and roughly 16% sequentially from Q1’s $8.8B..
• Q2 2026 operating income $683M with operating margin 6.7%, down 550 bps and 17% YoY, while net income $466M implies a net margin of about 4.6% and an 11% YoY decline..
• GMV approximately $21.9B up 44% YoY, total payment volume about $100.9B up 56%, and credit portfolio around $16B up roughly 75% YoY..

Enterprise Products

Thomas Gayner bought $7.64M of Enterprise Products in Q1 2026. The partnership is gaining momentum over the last two quarters, rebounding from a softer Q1 2026 (revenue down 6.7% year over year to $14.39 billion) to a very strong Q2 2026, where revenue surged 60.8% YoY to $18.27 billion and EPS rose 27.3% to $0.84 per unit. This step-change in performance is driven by record Q2 2026 EBITDA of $2.8 billion (+17% YoY), adjusted cash flow from operations of $2.5 billion (+19% YoY), and strong volume growth, with pipeline throughput up 8% and marine-terminal volumes up 33% year over year. Units around $38 trade on a normalized P/E of roughly 13x, and recent actions—including a 2.8% YoY increase in the quarterly distribution to $0.56 per unit, $159 million of unit repurchases, and leadership succession plans announced for 2027—should support continued value creation and investor demand.

• Q2 2026 revenue grew 60.8% year over year to $18.27 billion, while EPS increased 27.3% to $0.84 per unit, beating consensus by $0.09.
• Q2 2026 EBITDA reached a record $2.8 billion, up 17% year over year, and adjusted cash flow from operations rose 19% to $2.5 billion.
• Q1 2026 revenue was $14.39 billion (down 6.7% year over year), but EBITDA grew 11.6% to $2.6 billion and net income increased 6.4% to $1.48 billion.

Weyerhaeuser

Thomas Gayner bought $427.52K of Weyerhaeuser in Q1 2026. Over the last 12 months, earnings for Weyerhaeuser have rebounded, with Q2 2026 GAAP net earnings of $162 million and GAAP EPS of $0.23 nearly doubling the prior-year quarter, while revenue has remained broadly flat at around $1.9 billion. Sequentially, the current quarter shows modest improvement, with net sales up about 8% q/q to $1.867 billion, adjusted EBITDA edging up to $310 million from $308 million, and net earnings before special items rising to $91 million, driven by a sharp recovery in Wood Products and a $71 million after-tax gain on the sale of 29,000 acres of Oregon timberlands. These results — including adjusted EPS of $0.13 beating consensus by $0.03–$0.05 and operating cash flow of roughly $400 million — alongside ongoing strategic land sales and a $28 million product remediation insurance recovery, create near-term catalysts that investors may view as supportive of valuation (inference based on typical market response to earnings beats and asset monetization).

• Q2 2026 net sales were $1.867 billion, up from $1.727 billion in Q1 2026 but slightly down from $1.884 billion in Q2 2025..
• GAAP net earnings rose to $162 million in Q2 2026 (EPS $0.23), versus $156 million in Q1 2026 and $87 million (EPS $0.12) in Q2 2025..
• Adjusted metrics for Q2 2026 included net earnings before special items of $91 million, adjusted EPS of $0.13 beating estimates of $0.08–$0.10, adjusted EBITDA of $310 million (vs $308 million in Q1 2026 and $336 million in Q2 2025), and operating cash flow of about $400 million..

Added, Trimmed, and Exited

Added

Markel Group added to a broad swath of existing holdings, led by a large increase in CSX (+90,000 shares, value up 36.4% to $21.76M), alongside meaningful buys in Franco-Nevada (+25,000 shares, +23.5% return to $175.03M), Yum Brands (+18,762 shares, +11.3%), and Insperity (+28,463 shares, though value fell -17.2% to $4.90M on price weakness). The firm also modestly increased stakes across a cluster of railroads and exchanges—Norfolk Southern, Union Pacific, Canadian National, Canadian Pacific, and Intercontinental Exchange—each by roughly 8,000-9,000 shares, plus smaller adds to ExxonMobil (+9,000, +74.4% return), Charles Schwab, Lamar Advertising, Crown Holdings, Old Dominion, Hershey, Ferguson, and Rollins.
What it means: The concentrated buying across five North American rail operators (CSX, Norfolk Southern, Union Pacific, Canadian National, Canadian Pacific) in roughly proportional increments suggests a thematic conviction in rail infrastructure and freight logistics, likely reflecting a view that transportation names are undervalued or poised for a cyclical upturn. The pronounced CSX add stands out as the single largest incremental commitment, hinting at company-specific catalysts (e.g., merger speculation or operational turnaround) beyond the broader rail theme. Meanwhile, continued accumulation in Franco-Nevada despite already strong returns reflects conviction in royalty/streaming exposure to precious metals, and the steady adds to quality compounders like Hershey, Old Dominion, and Ferguson reinforce Markel's buy-and-hold philosophy of adding to proven, high-return businesses rather than chasing new names.

Trimmed

Markel trimmed three positions: S&P Global (-33,000 shares, value down 36.4% to $50.06M), Factset Research Systems (-13,503 shares, down 16.9% to $29.38M), and UnitedHealth Group (-7,800 shares, down 42.2% to $5.06M).
What it means: The reductions in S&P Global and Factset, both data/analytics franchises that have faced valuation compression, may reflect profit-taking after strong prior gains or a reassessment of growth durability amid AI-driven disruption concerns in financial data services. The sharp cut to UnitedHealth Group—now a small residual position—likely reflects continued caution around managed care fundamentals, regulatory scrutiny, and margin pressure that have weighed on the sector, suggesting Markel is derisking exposure to a name that has significantly underperformed.

Exited

Markel fully exited three positions during the quarter: Target (133,000 shares, ~$13.00M), Choice Hotels International (115,500 shares, ~$11.00M), and TransUnion (2,000 shares, ~$0.17M).
What it means: The complete exit from Target signals a loss of conviction in the retailer's turnaround narrative amid ongoing competitive and consumer spending pressures, while dropping Choice Hotels may reflect concerns about lodging demand normalization or valuation after a run-up. The small TransUnion exit appears more like portfolio housekeeping than a meaningful thesis shift, given its minimal position size. Together, these exits—paired with new capital deployed into Sunbelt Rentals, MercadoLibre, Enterprise Products, and Weyerhaeuser—suggest Markel is rotating out of consumer-facing cyclicals and select credit-data names in favor of infrastructure, e-commerce/fintech, and midstream energy exposure with clearer near-term growth catalysts.

Disclaimer: All posts are for informational purposes only. They are NOT a recommendation to buy or sell the securities discussed. Please do your own research and due diligence before investing your money.